Metro Group (Germany) has signed an agreement with Berli Jucker Corporation (BJC) of Thailand to transfer its wholesale business in Vietnam.
BJC will take over the entire business operations of Metro Cash & Carry Vietnam (MCC Vietnam), including 19 distribution centers and related real estate portfolio, at the total value of $655 million euros (approximately $879 million).
A Metro representative said the deal is expected to be finished in the first half of 2015.
"Metro Group and BJC discussed the wholesale business activities of Metro in Vietnam and achieved an agreement after a review and assessment process. We believe that the transfer will bring long-term value for stakeholders," said Mr. Olaf Koch, chairman of Metro Group.
Metro Group entered Vietnam in 2002 in the wholesale business. Currently, Metro Cash & Carry Vietnam has 19 centers across the country with 3,600 employees. In the 2012-2013 fiscal year, its revenue reached 516 million euros (about $692 million).
Metro is one of the largest international retail groups based in Germany. In the 2012-2013 financial year, it generated revenue of about 66 billion euros (about $88.5) with 2,200 stores in 31 countries and approximately 250,000 employees.
Berli Jucker is a Thai investment, distribution, marketing and manufacturing group with market capitalization on the stock market of about 88 billion baht ($2.8 billion). BJC's business activities are classified into five major supply chains, including packaging, consumption, healthcare, technology, retail and other supply chains. The group has six offices in South East Asia with total revenues of approximately $1.3 billion in 2013.
Berli Jucker has pursued acquisition of Metro Vietnam since last year. Previously, BJC partnered with Family Mart Vietnam after the Japanese partner withdrew entirely from this JV. The Family Mart Vietnam retail chain has been renamed B'mart, an old brand of BJC.
berli jucker corporation, south east asia, thai business, berli jucker, vietnam, em, business operations, mcc vietnam, real estate, to be, the first, first half, fiscal year, stock market, supply chains
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